Ally files for IPO that could raise more than $3B

NEW YORK - Ally Financial has filed for an initial public offering that could raise as much as $3.06 billion.

The U.S. Department of the Treasury says it plans to sell 95 million shares for between $25 and $28 each, which would raise between $2.38 billion and $2.66 billion.

Treasury also granted the offering's underwriters - Citigroup, Goldman, Sachs & Co., Morgan Stanley and Barclays - a 30-day option to buy up to an additional 14.3 million shares to cover possible over allotments. The would raise up to an additional $399 million.

Ally stock is expected to trade on the New York Stock Exchange under the symbol "ALLY."

Ally, formerly known as GMAC Inc., received a total of $17.2 billion in government support during the financial crisis. But the government has since recouped the bulk of its investment.